Aid program for Heat and Cold Network projects that use renewable energy sources
The development of cooling and heat network projects that use renewable energy sources will have an aid program worth 100 million euros, framed in the Recovery, Transformation and Resilience Plan, and financed by the European Union – NextGenerationEU.
The incentive program aims to achieve the goal of climate neutrality in 2050, by reducing imports of natural gas (NG) and other fossil fuels and favoring a change in the production model, according to the Institute for Diversification and Savings of Energy (IDAE).
The subsidized heat and cold network projects will be of three types:
- New heating and cooling network, including one or several generation plants that use exclusively renewable energies and one or several distribution networks with energy exchange connections to consumption centers.
- Expansion of an existing generation plant, through the incorporation of new generation equipment that uses renewable energies
- Expansion of an existing distribution network, including the network itself and new exchange connections. These projects must use existing generation plants that use renewable energy.
The deadline for submitting applications is done through the IDAE electronic headquarters and will start at 9:00 a.m. on September 26, 2022, until 2:00 p.m. on November 11, 2022. These grants will be awarded as non-refundable subsidy and competitive bidding. The objective is to support new projects, as well as the expansion of existing facilities using renewable energies that have a significant decarbonizing effect.
This line of economic incentives is aimed at projects with a power greater than 1 MW, has an endowment of 100 million euros and is part of component 7 “Deployment and integration of renewable energies” of the Recovery, Transformation and Resilience Plan for the execution of the Next Generation EU funds. Specifically, this program contributes to meeting the goal of installing at least 3,800 MW of renewable generation by the first half of 2026.
The deployment of heat and cold supply networks based on renewable energies is considered to be part of the solution to achieve climate neutrality in 2050, since they contribute to the structuring of the territory and the development of rural areas and reduce imports of natural gas and other fossil fuels. Likewise, they allow a change in the productive model of Spain with a new generation of employment and a boost to economic activity in a context of recovery.
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